Shareholders’ net income1 was $0.76 per share2 in the quarter, compared to $0.20 per share2 for the same period last year. First quarter 2009 shareholders’ net income1 included losses of $0.18 per share2, from results of the Guaranteed Minimum Death Benefits business also known as Variable Annuity Death Benefits (VADBe) and income of $0.08 per share2 from results of the Guaranteed Minimum Income Benefits (GMIB) business3. These businesses have been in run-off since 2000. Adjusted income from operations4 in the quarter was $0.69 per share2, which included losses of $0.18 per share2 from VADBe. The company currently estimates full year 2009 earnings per share2, on an adjusted income from operations4,9 basis, to be in the range of $3.70 to $3.90 per share2. The company currently estimates full year 2009 adjusted income from operations4,9 for the Health Care segment to be in the range of $700 million to $760 million.
PHILADELPHIA, April 30, 2009 - CIGNA Corporation (NYSE:CI) today reported shareholders’ net income1 of $208 million, or $0.76 per share2, for the first quarter of 2009 compared with shareholders’ net income1 of $58 million, or $0.20 per share2, for the same period last year. Shareholders’ net income1 for the first quarter 2009 included losses from VADBe of $49 million after-tax, or $0.18 per share2, income from the GMIB business3 of $23 million after-tax, or $0.08 per share2 and a special item5 benefit of $20 million after-tax, or $0.08 per share2, related to completion of an IRS examination.
CIGNA's adjusted income from operations4 for the first quarter of 2009 was $188 million, or $0.69 per share2, which included losses of $0.18 per share2 from the VADBe business, compared to adjusted income from operations4 of $265 million, or $0.93 per share2, for the same period last year.
"Our first quarter 2009 earnings from our ongoing businesses reflect sound execution of business fundamentals as well as the current challenging economic times," said H. Edward Hanway, Chairman and Chief Executive Officer of CIGNA Corporation. “We are committed to growing earnings in 2009, thereby creating value for shareholders, as we continue to pursue our mission to improve the health, well-being, and security of the people we serve.”